Introduction

1. How Pricing Procedure is determined?

In SD, Pricing Procedure is determined based on Sales Area (Sales Organization + Distribution Centre + Division) +
Customer Pricing Procedure + Document Pricing Procedure.
2.

How Sales area is determined for Pricing Procedure?

Sales Area is determined in Sales Order Header Level.

3.

How Customer procedure is determined?

Customer Pricing Procedure is determined from Customer Master.

4.

How Document pricing Procedure is determined?

Document Pricing Procedure is determined from Sales Document Type / Billing Type (if configured).
Once the pricing procedure is determined, Condition records are fetched. If appropriate condition records are found,
the price is determined. If Mandatory pricing condition is missing, system will through an error message.
We can Take the existing procedure and add the condition type or can create new procedure. Here we have taken
new Pricing procedure.
5.

What is pricing Procedure?

Pricing Procedure is used to determine the price of the product for sale with any freight charges, Excise duty
Discount to be given to customer, service tax.
We have to create multiple pricing procedure depending upon the different scenarios like domestic sales,
export sales, stock transfer from one plant to another plant.
In domestic there will be one type of price list and freight charges where for export sales there will be
another type of taxes and duties and product price.
In some cases freight charges will be there but discount will not be there for the product. Discount is the
amount we are giving to customer when selling the product. Like for example when we are purchasing Dress
or garments we are asking for discount. Store keeper give us the discount of about 5% or 10% .In some
cases there will not be any discount. Here shop keeper is giving discount upon the sales price.
Fright charges are the octroi charges when goods moved from one place to another or when selling goods
to another country there will be export charges and state taxes.
Service tax also included in some of the products.
Excise duty also levied on some products.
These above frights charges, Taxes and prices will be calculated taking the condition and condition
technique from access sequence.
So in pricing procedure we will calculate the final price of the finished goods with other tax and charges
automatically with respect to combination condition of values like sales organization, material, customer,
division, distribution channel.

Pricing Procedure
(ZSER1)
Code-V/08

We need to know what are things required for creating a pricing procedure
1) Condition Table or Technique2) Access Sequence
3) Condition
Follow the diagram as below

Condition Table- T.Code-V/03-Create

A condition table is a combination of fields that identifies the individual

condition record. A condition record is how we are saving the conditions to
fetch the price.
It means we will create a table and give the field names like division, sales
organization, and customer which will be used as search criteria according
to which it will fetch the value of product from condition.
Some conditions are available in system already but for some cases we
need to create new condition table for access sequence as per client
requirement.
For condition also we have to make sequence.
Like client has requirement to fetch the price calculation as per customer,
material and plant. He has to check which will come first.
Lets there is requirement that as per customer first; price will be
calculate.so we will make condition table as below.
Customer/plant/material.
It means customer will be one and plant will be one and material will be
multiple.
T.Code-V/03
The below screen will appear.
You can take from 501 to 999.Give your table name.

Give the table name by numeric.

<Enter>

Keep the mouse on Long Key Word

and find the fields by Pg Dn button.

Double Click on the fields to fetch to the selection criteria. Like Below.

Now go to Technical View the make the additional changes for the
fields.

Here First column is key.it means if mark the fields then for this
combination there will not be any second entry. The first selected field will
always be Key field. We cannot be changed.
Here Customer, plant, material are key field. If we maintain one customer,
one plant and one material then for the same combination record, we
cannot take another value.
The second column is Footer.it means which value will be footer. The last
selected sequence will always be footer like material. We cannot change
it. But we can also make Customer and plant as footer. In footer there will
be multiple entry.
Then click on generate to create the table.

Click on Yes.
The below screen will come.

Click on Local Object.

It will take time to generate object.
Likewise we will create the below condition tables. The below screen will
come.

Then Click on Generate Object. It will show the table as like below.

Now a condition table is create and its name is A700.

Now we will create another condition table.
Here we will select Incoterms, Division, Distribution Channel, Plant, Sales
organization.

Now the table condition has been created.